Four EV companies deposit ₹129 cr with centre against pending funds

New Delhi: Ola Electric, Ather Energy, TVS Motor Company, and Hero MotoCorp have collectively deposited ₹129.30 crore with IFCI Ltd, a state-run non-banking finance company.

This is part of the ₹312.42 crore in total refunds these companies need to make to electric two-wheeler (e2w) buyers following allegations of mispricing and wrongful claims of government subsidies.

According to a top official at the heavy industries ministry, a sum of ₹183.15 crore has been paid back to e2w buyers so far. "Customers need to continue approaching the e2w makers to seek a refund. Once the companies give back the money, they need to furnish a proof of the same to IFCI. After that proof is verified, the funds parked with IFCI will be released to the companies," the official told ET.


Earlier this year, a government probe into customer complaints discovered that these four two-wheeler makers were billing their charger and proprietary software as an add-on to their electric scooters. This is considered a violation of norms under government's FAME (faster adoption and manufacturing of hybrid & electric vehicles) scheme. The scheme specifies that electric two-wheelers that retail above ₹1.50 lakh per unit are ineligible for benefits under the ₹10,000 crore programme.